AC modulated control systems are widely used in space applications, military applications and industrial applications. This invention relates to electric systems and networks for compensation of control signals employed in such systems to the end that a more suitable performance is obtained, e.g. where controlled apparatus is made to more precisely follow a position command. More particularly, this invention relates to those of such systems wherein the control signals are in the form of modulation impressed upon a carrier. Typically, the carrier frequency is 60 or 400 Hertz and the control signal modulation is of a substantially lower frequency. It does follow that the compensation must be accomplished on frequencies which are remote from the control signal frequencies. The goal, of course, is to be able to achieve the same compensation to the modulation, or modulation envelope of the modulated carrier as a lower frequency network would achieve on the control signal alone, that is if it were not impressed on the carrier.